Home-renovation Scams - Strathclyde Associates Trading

Strathclyde Associates Trading and Management Construction Company: Renovations are stressful, but if you rush through important details you could fall prey to one of these scams.

Scam artists are nothing new, but there are plenty of reasons to predict that even more of them will be around, due to tough economic times. While they tend to prey on the elderly, anyone who is not cautious and informed is a potential victim. Your best defense is a skeptical mind and knowing what to look out for when you hear about an offer that's "too good to refuse." Here are some of the most popular, and costly, home-improvement scams.
Home-renovation Scams - Strathclyde Associates Trading: One-time special
It's a rare business that's had only one sale in its entire history. The reality is that most businesses hold sales throughout the year, and that's not likely to change any time soon. If a contractor approaches you with a special offer, ask for concrete evidence that the quoted price is lower than what they have charged in the past for the same work. This could include a past catalog, special mailing, dated price list or evidence of identical work for a past customer.
Don't be pressured into accepting a deal that will expire before you've had a chance to do research, get competing bids and check references.
Home-renovation Scams - Strathclyde Associates Trading: I might as well
Be wary of the contractor who knocks on your door and says he's working just down the street. He tells you that he noticed a few things that need some work on your house and that you could save money by hiring him on the spot. Coincidentally, he just happens to have all the materials and tools to start right away.


This approach is often used to entice you into doing things that are visible from the outside, like roof repair, painting, window caulking, deck restoration, driveway coating and chimney repair. If the contractor claims to have all the materials, ask him where they came from and who paid for them. If they are left over from an earlier job, there's some chance that the previous homeowner footed the bill.
Cash before work
Nothing should set off more alarm bells than the contractor who wants to be paid in full for a project before it's started. This arrangement sets you up for a disappearing contractor who never starts the work.
A reasonable down payment is expected, to cover startup labor costs and materials. Normally, this should not exceed one-third of the total contract value; it's wise to make it as small as possible. The balance of the money can be tied to completion milestones to keep the contractor motivated to stay on schedule. Hold a sizable portion of the money until the project is finished, and make final payment dependent on your personal inspection and satisfaction.
Financing offers
Another warning flag is the offer to arrange financing to pay for your renovation, sometimes from a lender that the contractor knows personally. The offer may include a special interest rate for a limited time only. What won't be disclosed is that the contractor may be getting kickbacks or other favors from the lender.


If you don't review the loan papers carefully, you may later find out that you've signed up for a refinancing or high-interest home-equity loan, or unknowingly transferred your deed. If the money goes to the contractor, there's no incentive to complete the work. Always shop around for the best loan available, and consult an attorney if you need help understanding the terms and conditions.
Fly-by-night contractor
Be extremely wary if a contractor pulls into your driveway in an unmarked truck. If you talk to him, do it outside in public view. Anyone who enters your home is a potential burglar, or worse. If the truck has out-of-state plates, don't even waste your time.
For all contractors, you should apply due diligence. Verify name, business name and license number, address and telephone number. Ask for insurance papers, and verify that they are bonded in accordance with applicable laws.
Model home
Beware of the contractor who wants to fix up your home so he can show it off to other potential customers. You will likely be tempted by a deal that seems too good to pass up. But chances are pretty good that some or all of the work he's recommending doesn't really need to be done. Reputable contractors don't need models to showcase their work, and if they needed one, they wouldn't use an occupied home for that purpose.

Home-renovation Scams - Strathclyde Associates Trading: The bottom line
Use resources such as the Better Business Bureau, the Department of Consumer Protection and the local licensing board to check the contractor's business reputation and credentials. A history of consumer complaints, lawsuits and expired licenses are reasons to keep looking for a reliable contractor.
Common sense and good judgment offer the best protection from home-renovation scams. If it seems too good to be true, it probably is. It's always wise to get multiple estimates before starting any project. If there are wide differences in the quotes, try to figure out why. Most importantly, don't sign any contract that you don't understand completely.

Strathclyde Associates Trading and Management Construction Company is passionate in the belief that from adversity comes opportunity. We believe that sustainable competitive advantage is always predicated upon the focused execution of a few core strengths or priniciples that are indemic to each particular company.

Smartcard Scam: Stakeholders – University of Strathclyde and Associates Read more about University of Strathclyde by David Gani

Although cardholders are usually the focus of concern in matters of card fraud, there



are other stakeholders in the establishment, use and maintenance of smartcards. These

stakeholders are (1) cardholders; (2) merchants; (3) Acquirers; and each of these has

roles, responsibilities and risks in operation of the card system.

Research indicates that we can all do more to defeat criminals, particularly where

basic security measures are involved. Statistics, such as the following [8], are particularly

alarming and highlight the need for cardholders to be aware of the risk and impact

if they fail to protect their PIN number and card details:

• 25% of all UK residents have disclosed their PIN to someone else, exposing them
to heightened risk of fraud and potentially making them liable for any card fraud

losses they may suffer;

• 27% of Britons use the same PIN for all their cards and the average adult has four
cards each;

• 44% of people still allow their cards out of their sight (in restaurants and bars for
example) when settling a bill;

• 51% of online shoppers do not fully appreciate that the start of a website address
changes from ‘http’ to ‘https’ when they enter a website made secure for purchasing.

The key recommendation for cardholders is that they should be security conscious

and take all practical precautions when undertaking a card payment. Cardholder

complacency is still a large factor in card fraud levels. While card issuers are unlikely

to acknowledge vulnerabilities, in order to avoid adverse reputational impacts, increased

cardholder awareness of the risks and impacts associated with known vulnerabilities

in the Chip and PIN system, will ensure that they become less complacent.

The large variety of card terminals makes it difficult for a cardholder to identify

one that has been tampered with, but there are other ways they can notice fraudulent

actions, for example by being familiar with merchant best practices. This would allow

them to raise alarms with other staff members if suspicious behaviour is observed,

e.g., swiping a card prior to inserting it into a card terminal or watching a PIN

being entered. Cardholders should also check their credit card and current account

statements to identify any illicit transactions. One measure to limit exposure for a

debit card linked to a current account is to establish a second account containing a

smaller balance for use in card transactions.